Market expert John Hussman, who has predicted previous market disasters, warns of the impending ‘bear market’. Other analysts suggest that the Bitcoin price is technically preparing for the bull.
John Hussman expects 60% drop in markets
Market expert John Hussman, known for his accurate predictions of previous market crashes, said we will see negative results in the short term. Hussman was among those who foretold the Dot-com collapse and the Global Financial Crisis. He bases his expectation of the latest collapse on current market conditions.
Hussman relies on two critical indicators to gauge stock market direction. These are ‘volume’ and ‘investor sentiment’. Both factors are currently of concern, according to their analysis. Using his preferred valuation measure, which compares the market value of non-financial stocks with gross value added, Hussman claims the market has overvalued even more than it did during the dot-com bubble and the 2008 financial crisis.
Hussman’s bearish outlook for the stock market could also extend to the broader crypto market. Earlier, JPMorgan analyst Dubravko shared a similar view at Lakos-Bujas. A major crash in the US stock market could have a ripple effect on cryptocurrencies. However, there is also the potential for Bitcoin to break the $25,000 support level. Some experts even predict that Bitcoin will drop to $20,000 or below.
Bitcoin is wildly bearish
Elsewhere, popular crypto analyst Michaël van de Poppe has suggested that the bear market will be driven by individual investors. The crypto analyst highlights the extreme bearish trend he finds “insane” against Bitcoin among retail investors. He suggests that many investors are stuck in the 2022 mindset that witnessed the FTX crash.
Retail is so extremely bearish on #Bitcoin and #Crypto, it's almost insane.
People are stuck in the 2022 mindset.
— Michaël van de Poppe (@CryptoMichNL) May 27, 2023
Gert Van Lagen interprets current moves as bullish
Popular technical analyst Gert Van Lagen shared bullish expectations unlike Van de Poppe and John Hussman. In his current analysis, he pointed out the ‘perfect’ head and shoulders pattern on the BTC chart.
According to Lagen, “Successful double bullish retest of neckline/SMA200” has taken place. Basing his targets on 5 waves, the analyst says his final target is between $170.00 and $200,000.
$BTC [1W] – Perfect Head-and-Shoulders bottom formed below the weekly SMA200.
Successful double bullish retest of the neckline/SMA200
Perfect #beartrap/bottom W4 before #blowoff top/W5.#Bitcoin #BTC #BullMarket pic.twitter.com/ojzMqMcR8v
— Gert van Lagen (@GertvanLagen) May 26, 2023
Credible Crypto claims Bitcoin price will peak this year
Recent analyst Credible Crypto expresses his confidence that Bitcoin can reach ATH levels this year. The mysterious analyst said that Bitcoin could reach ATH this year based on historical priority.
According to Credible Crypto, Bitcoin could replicate previous waves of impulses as witnessed in 2020, when it struggled for months to break above a key resistance level before reaching its former highs.
The analyst later said that there are significant differences in Bitcoin’s price action in 2023 compared to three years ago. Meanwhile, BTC is trading at $26,738.05, up 0.77% on the day. Bitcoin Core Version 25.0 was released today, as we quoted as Kriptokoin.com.
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